EDEN PRAIRIE, MN – NeuroOne Medical (TASE:PMCN) Technologies Corporation (NASDAQ:NMTC), a medical device company valued at $35 million, has been notified by the Nasdaq Stock Market of non-compliance with the minimum bid price requirement, putting its listing at risk. Despite showing strong momentum with a 17% gain over the past week according to InvestingPro data, the company faces listing challenges.
The notice, received on Wednesday, January 8, 2025, follows a previous warning from July 11, 2024, indicating that the company's common stock had closed below the $1.00 per share threshold for 30 consecutive trading days.
The Nasdaq's Listing Qualifications Department requires that the bid price of a company's common stock remains at or above $1.00 per share to maintain listing on The Nasdaq Capital Market. NeuroOne was initially given a 180-day period until January 7, 2025, to regain compliance.
InvestingPro analysis reveals the company maintains a healthy current ratio of 2.09, indicating sufficient liquid assets to meet short-term obligations, though it faces challenges with negative profit margins.
In response to the delisting notice, NeuroOne plans to appeal the decision by requesting a hearing before the Nasdaq Hearings Panel. This action will delay the delisting process, allowing the company's stock to continue trading on the Nasdaq while it works to meet the exchange's requirements. NeuroOne intends to present a plan to the Panel for achieving and maintaining compliance with the Minimum Bid Price Requirement.
The company's future on the Nasdaq exchange remains uncertain, as there is no guarantee that it will be able to meet the necessary criteria to regain compliance. NeuroOne's stock will remain listed on the Nasdaq at least until the hearing process is concluded.
This development is based on the company's latest Form 8-K filing with the Securities and Exchange Commission. For deeper insights into NeuroOne's financial health and future prospects, investors can access comprehensive analysis and 12 additional ProTips through InvestingPro's detailed research reports.
In other recent news, NeuroOne Medical Technologies Corp has reported significant developments in its Q4 2024 earnings call. Despite a net loss of $12.3 million for the fiscal year, the company's product revenue increased by 77% year-over-year, reaching $3.5 million. This growth is largely attributed to the launch of its new FDA-cleared RF ablation system and the expansion of its partnership with Zimmer Biomet. The company expects these developments to drive future growth.
Furthermore, NeuroOne projects substantial revenue growth for FY 2025, expecting to achieve between $8 million and $10 million. This projection represents a growth of 132% to 190%. The company also plans to submit its RF ablation system for trigeminal neuralgia to the FDA in the first half of 2025 and is exploring partnerships for its spinal cord stimulation technology.
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